Asia Market Wrap: Calm Bitcoin Hides Rising Tensions Ahead of Fed and CPI Data

Asia Morning Briefing: Bitcoin Steady as Markets Await Fed and CPI
September 10, 2025

Bitcoin (BTC) is trading in a narrow range around $111,000, reflecting a market bracing for U.S. inflation data and the Federal Reserve’s September meeting. Volatility has compressed to multi-month lows, a calm that often precedes sharp moves. Traders are watching whether roughly $7 trillion in sidelined cash rotates into crypto once volatility returns.

Prediction markets heavily favor easing. Polymarket assigns an 82% probability of a 25-basis-point Fed cut on Sept. 17, leaving little chance of a deeper cut or no change. Expectations for October are split, suggesting volatility could rise once the Fed signals its next moves.

“Markets often appear calm just before they move,” said Gracie Lin, CEO of OKX Singapore. “Bitcoin is trading in one of its tightest ranges in months. With Core CPI out on Sept. 11 and the Fed’s rate decision soon after, this quiet period is setting the stage for the next major move.”

Lower money-market returns from a rate cut could push capital into cryptocurrencies. Market maker Enflux noted, “The question isn’t whether cuts happen, but whether liquidity shifts into BTC, ETH, and other risk assets.” A rotation of sidelined cash into digital assets could reignite volatility.

Market Snapshot

BTC: Trading between $110,812 and $113,237 amid subdued volatility.
ETH: Modestly higher at $4,279–$4,379, reflecting steady demand.
Gold: Rallying toward record highs as Fed cut expectations grow.
Nikkei 225: Japan’s index up 0.2% as markets await China’s CPI and PPI data.
S&P 500: Closed at record highs Tuesday, up 0.27% to 6,512.61, shrugging off a 911,000-job payroll revision.